Xerox shares rallied as the company posted better than expected results and unveiled plans to trim its workforce by 2,500 jobs.

The company posted revenue for the quarter of $4.2 billion - while that was down 3 percent year-over-year, or down 7 percent  on a currency adjusted basis

Xerox also said it will cut 2,500 jobs over the next 12 months; the company ended 2009 with 53,600 employees.